NYMEX-Crude steadies near $89 as US woes offset Middle East tensions

SINGAPORE Dec 4 U.S. crude held around $89 per
barrel in early Asian trade on Tuesday, as weak manufacturing
data from the United States and worries over its fiscal deficit
offset supply concerns caused by tensions in the Middle East.

FUNDAMENTALS

* U.S. crude futures fell 8 cents to $89.01 per
barrel at 0006 GMT after topping $90 per barrel in the previous
session.

* U.S. Republicans proposed steep spending cuts on Monday
and gave no ground on a higher tax plan for wealthy citizen,
suggesting that plans to avert the "fiscal cliff" may lean more
towards tightening the purse strings.

* U.S. manufacturing contracted to a three-year low in
November on worries over the fiscal deficit negotiations and a
delayed impact of Hurricane Sandy.

* The 20-month old conflict in Syria worsened after the
government spokesman fled the country and the United Nations
announced that it was withdrawing all non-essential staff from
the Middle Eastern country.

* Israel rejected criticism from the U.S. and Europe of its
plans to expand its settlements after the United Nations' de
facto recognition of Palestine as a state.

* U.S. commercial crude oil stockpiles likely rose
marginally last week while gasoline stockpiles were expected to
show larger builds, a preliminary Reuters poll of six analysts
showed on Monday.

* The euro climbed for the fourth straight session against
the dollar on Monday to touch a six-week high as news from Spain
and Greece allayed concerns about those debt-burdened countries,
while data from China eased worries about global economic
growth.

WASHINGTON, Dec 9 The U.S. Senate was preparing
to pass a government spending bill on Friday evening after
Democrats from coal states announced they would not risk a
government shutdown by continuing to delay the vote.

WASHINGTON, Dec 9 President-elect Donald Trump's
Energy Department transition team sent the agency a memo this
week asking for the names of people who have worked on climate
change and the professional society memberships of lab workers,
alarming employees and advisors.